Post by
Trader555555 on Oct 02, 2018 12:48pm
SP should be 1.72....at least
Assuming HIP can hit capacity of 40,000kg, and can sell it all. Production costs are around $1-2/g, retail is around $7/g, lets ballpark $3/g profit, assume EBITDA of 8. SP should be $1.72.
In an exciting new emerging market with a growing company, EBITDA could be 20, in which case SP should be $4.31
Comment by
Charlie_Chan on Oct 02, 2018 1:03pm
Where are you getting your EBITDA? (Earnings before Interest, Taxes, Depreciation and Amortization) You gave figures of 8 and 20? These are not earnings?
Comment by
mathandmass on Oct 02, 2018 1:35pm
EBITDA? Yawn... This is TSXV, pre-revenue stock in a hype bubble. Just saying. Unless you're the sort of guy who was trading bitcoin on "technicals"... :)
Comment by
Trader555555 on Oct 02, 2018 1:42pm
so many opinions out there.....at least doing some kind of vaulaiton guess is probably a good thing. It's a fairly simple model, there is essentially one product and we know the production costs will be $1-2/g, we know annual capacity (~40,000kg), and we know approximate retail price (i.e. $7/g). So, whats a company like HIP worth if they sell 40,000kg?
Comment by
mathandmass on Oct 02, 2018 1:52pm
The more relevant question at this point is will Jay manage to sell the company and if so, at what price per share.
Comment by
silkroad007 on Oct 02, 2018 2:42pm
Well EBITDA is an actual number irrelevant of emerging market or hype. I think your confusing EBITDA with P/E ratio. Regardless I agree that HIP should be way higher
Comment by
mathandmass on Oct 02, 2018 3:14pm
I am not confusing it. I am saying it doesn't matter.